Drivers who fall into the age range of 17-24 years of age are commonly referred to as young drivers.  They comprise a group who will find that when looking to buy a car insurance policy the costs will tend to be substantially higher than many other car users.

Much of the reason for this increased cost is due to young drivers being involved in a relatively high number of all road accidents (around 25%) while making up a very small number of licence holders (about 10%).  This higher risk of being involved in a car accident is then represented in the cost of the young driver’s car insurance, since the increased risk of accident involvement means an increased chance of that driver making a claim on their policy.

The increased premiums of car insurance for this category of driver can be reduced to bring it down to a more affordable level with some effort and a responsible attitude.

Reducing your insurance premium

A recommended way to begin the search for car insurance is to use a comparison website.  This approach has benefits in the form of a visual way of comparing possible policies from dozens of insurers, and the ability to compare and contrast the level of cover offered as well as the costs of that cover.  This is a very useful way to achieve the desired level of cover at the best price starting point.  This is also very useful in that it can save a lot of time that would otherwise be spent contacting insurers individually.

The single best way to achieve a very good discount from the premium of an insurance policy is by being a safe driver.  Not making any claims on your policy you can usually build a no-claims bonus - each year you stay claim free will usually be rewarded by an increased discount.  Most companies set the maximum discount at about 5 years without a claim and some will reward this with a substantial saving of up to 75%.  It is also worth bearing in mind that many insurers offer young drivers the opportunity to rapidly build their no-claims discount, with some insurers allowing the full first year’s discount to be built within 6 – 9 months.

Buying a car with a lower powered engine is a sound way of keeping car insurance from being unnecessarily expensive.  Not only is a car with a small engine less likely to be involved in an accident, but is also generally likely to be of a lower value and therefore cheaper to repair/replace.  A car’s value will also generally decrease with age so a car will generally become cheaper to insure once it reaches 5 years of age, and again at 10 years of age.

Car modifying is a common occurrence among young drivers as a way to give their car extra appeal to friends or peers.  The problem with this is that making a modification to a car will often result in increasing the car’s value or performance.  By increasing the car’s value you are likely to incur an increase to the cost of insurance.  This is also very much the case when modifying a cars performance since a higher performance car is more likely to be driven in a manner which increases the likelihood of involvement in an accident.  If you do plan to make any modifications to the car be sure to discuss the decision with your insurer before making any purchases in order to know the exact difference it will make to your premium.  It’s important that you don’t try to hide any modifications from your insurer as failure to declare a modification will commonly invalidate your policy.  Also note that something such as changing the audio equipment will need to be declared as not only could this increase the car’s attractiveness to thieves but making the change will likely change the vehicle’s value.

Increasing car security is also always worth considering since not only does it make the car less likely to be stolen or vandalised, but many insurance companies will offer a reduction in your premium for each security device.  As with other modifications, always discuss any security enhancements with your insurer first to ensure that the measures you plan to take will gain a reduction.  Locking the car in a secure place such as a garage, or adding an alarm or immobiliser are all possible ways to get a reduction in your premium as well as giving you peace of mind.

Consider a night time curfew or a mileage limit in order to reduce your risk and possibly your premium.  A night time curfew is considered as a risk reducing measure since statistics seen in studies such as that carried out by the Institute of Advanced Motorists (IAM) tells us that young drivers are most likely to be in an accident in the hours of darkness.  A mileage limit is also a common measure, as the less time you spend on the roads can be seen as less time in which you’re vulnerable to be involved in an accident.  Discuss the possibility of a discount for either or both of these with your insurer before taking them in order to make an informed decision as to whether they would be worthwhile for you.  It is common that a 12,000 mile limit in a year can earn a discount from some insurers in the region of 5%.

Remember that car insurance is a legal requirement for all drivers on the road and that the reason behind it is not always to protect you but any others who may be injured or have property damaged in an accident.  Be sure you have cover before you drive on the roads, and consider the above suggestions in order to make sure you don’t pay more than necessary for your policy.